SACRAMENTO -- A California Energy Commission
committee is recommending approval of the proposed
600-megawatt, gas-fired Metcalf Energy Center located in the
Coyote Valley in south San Jose. The project is being
proposed by San Jose-based Calpine Corporation and San
Francisco-based Bechtel Enterprises, Inc.

The Metcalf Energy Center Committee is comprised
of Presiding Member Robert A. Laurie and Associate Member
and Energy Commission Chairman William J. Keese.

The recommendation comes in the Presiding Member's
Proposed Decision released today. The document is available
on the Energy Commission's Web Site at:

In its Proposed Decision, the committee finds that while
the project does not comply with certain local ordinances,
including San Jose's general plan and zoning ordinances, the
power plant is needed for the public convenience and
necessity brought about by the area's need for electrical
generation and the benefits it will provide to the overall
Bay Area electric system. The committee, therefore, is
recommending that Calpine Corporation be required to
implement measures to bring the proposed Metcalf project
into conformity, to the extent possible, with local
ordinances.

The Committee also recommends other mitigation measures,
including:

Monitoring of particulate emissions three times per year

Scheduling the deliveries of aqueous ammonia to the power plant to avoid normal workday traffic at the site of the future adjoining Cisco complex

Use of an oxidation catalyst to further reduce emissions of acrolein

This document is not a final decision on the Metcalf
project. Release of the Presiding Member's Proposed
Decision starts a 30-day period for public comment. The
comment period will end on July 19, 2001.

The Metcalf Committee will hold a public
conference to discuss the Proposed Decision as follows:

Persons requiring information on how to participate in
the Energy Commission's review of the proposed project
should contact Roberta Mendonca, the Energy Commission's
Public Adviser, at (916) 654-4489, toll free at (800)
822-6228, or by e-mail at pao@energy.state.ca.us